Global Economy on Brink of Collapse Due to G7 Current Account Imbalances
The United States has a big trade deficit, and other countries like Japan and Germany need to have trade surpluses to cover it. Economists are trying to figure out how long this can go on and what might happen in the future. They think the trade imbalances will eventually get smaller, and that changing currency values will help fix the problem. Some experts believe the Euro could become more important than the dollar. Overall, there are different opinions on how dangerous the trade imbalances are and how they should be fixed.